Investing In Real Estate No Money Down

Some key methods here include:

1. Hard Money Lenders. Unlike private money, hard money lenders set forth fees in the form of points. Ranging from three to five, these points represent an added, upfront percentage fee based on the borrowed amount; this is on top of the interest rates hard money lenders charge, which range between 10 and 18 percent.
2. Private Money Lenders. Private money loans, which bring speed and efficiency to every transaction, will typically cost investors somewhere in the neighborhood of 6 and 12 percent interest on the money borrowed.
3. Wholesaling. As the introductory course to real estate investment, wholesaling requires neither a high credit score nor large sums of money down. Instead, it simply comes down to having the right numbers in place.
4. Equity Partnerships. A very common path in real estate investment is through partnerships. Edward Shaw, Co-Founder of Leeline Sourcing, says, “A typical path in real estate investments is by using alliances.
5. Home Equity. An alternative option for investors with no upfront money is home equity. This can be a viable option since property values have gone up in recent months, meaning there could be more capital available than you think.
6. Option To Buy. Sometimes referred to as a “lease-option,” this method allows investors to acquire properties without initially taking legal ownership.
7. Seller Financing. Unlike traditional loans, seller financing works like this: the investor purchases the property from the homeowner/seller, rather than a bank, and the two sides sign an agreement that states an interest rate, repayment reschedule, and consequences of default that both parties have agreed upon.
8. House Hacking. House hacking, as its name suggests, is a real estate strategy that awards savvy investors the ability to take advantage of a unique situation.
9. Government Loans. Government loans are perhaps the most well known of all the sources of funding made available to today’s investors. Here’s a list of the government loans you may already be familiar with
10. Microloans. As the peer-to-peer economy continues to shape how real estate investors do business, microloans will remain a viable option. Issued by individuals, as opposed to banks and credit unions, microloans are yet another branch of peer-to-peer lending, making it possible for people to invest in real estate.

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